PORT ANGELES — A water services agreement reached Tuesday and assurance that the public utility district will drop its appeal virtually assures city annexation of a west-side industrial area.
The 346-acre territory includes the site of the proposed Port Angeles Hardwoods sawmill.
The City Council unanimously approved a services agreement with the Dry Creek Water Association on Tuesday night.
Dry Creek’s board also approved the agreement Tuesday.
The water group’s appeal and one by the Clallam County Public Utility District over electrical service were the two main remaining hurdles keeping the city from annexing the property by forcing the matter to go before a county boundary board.
The proposed annexation is south of U.S. Highway 101, extending west of the city limit at Old Joe Road about 1.5 miles to the edge of the western urban growth area opposite Reddick Road.
$7.1 million valuation
The annexation area has a $7.1 million assessed valuation, which now fuels city coffers.
It covers 346.41 acres and includes the proposed $23 million alder and maple sawmill as well as a Green Crow sawmill, Hermann Brothers sawmill and Lakeside Industries.
To clear the way for the annexation, the city agreed to buy the water association’s facilities within 12 months of annexation, or 24 months under special circumstances.
The city will determine within 60 days of annexation whether it will build facilities, buy them, or both — and when.
The agreement also establishes a purchase formula for transferred facilities.
As part of the agreement, Dry Creek will withdraw its appeal of the city’s annexation proposal to the Clallam County Boundary Review Board.
City Attorney Bill Bloor said the agreement is similar to the city’s pact with Clallam County Public Utility District for providing electricity services in annexed areas, Bloor said.
He told the City Council on Tuesday that Clallam PUD also has agreed to withdraw its annexation appeal to the boundary review board.
The city already has reached a fire services agreement with Clallam County Fire District No. 2, which withdrew its annexation appeal earlier.
The only remaining appeal to the county boundary board is one from a group of property owners in the proposed annexation area.
The validity of that appeal is being reviewed after one of the property owners withdrew, possibly leaving too few property owners objecting under state law.
